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Household Risk Preparation Indices—Construction and Diagnostics


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Authors

Foa, Roberto Stefan  ORCID logo  https://orcid.org/0000-0001-8867-7566

Abstract

Recent years have seen growing interest in the conceptualization and measurement of household risk preparedness at the cross-country level. This paper discusses the challenges faced in the design of composite indices, including indicator selection, aggregation, weighting, and how they might be addressed in the composition of a risk preparedness measure. A simple risk index is devised and a series of diagnostic tests conducted in order to demonstrate the robustness of the new measures and its degree of construct validity.

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Keywords

World Bank, Index Design, Household Risk, Social Indicators, Development, Poverty

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Publisher

World Bank Open Knowledge Repository

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World Bank Group